Automotive Digital Cockpit Market Research Report - Global Forecast till 2032

Impact of COVID-19 on the Global Automotive Digital Cockpit Market

The COVID-19 outbreak has severely impacted the integrated automotive industry across the world. Within the automotive industry, China is the production hub for the automotive parts owing to the availability of raw materials and technological innovations. Due to the US-China trade war and the rising cost of labor, most of the manufacturing companies are focusing on relocating their production operations to other countries. However, the COVID-19 pandemic has changed the overall scenario. More than 1000 multinational companies are planning to shift their manufacturing operations either partially or entirely from China to India and other Southeast Asian countries. In March 2020, the announcement of the COVID-19 outbreak as a global pandemic resulted in the lockdown across various countries. The lockdown has led to the shutting down of the manufacturing companies and enforcement of curfews in multiple states that have caused a sharp decline in the production of various auto products across the globe. Besides, the halting of raw material exports from China has also slowed down production activities. The pandemic has had many effects such as travel bans, flight cancellations, a massive downturn of the supply chains, a drop in the business revenues, increasing panic among the population, and an uncertain future.

A digital cockpit is designed to improve the driving and safety experience by enabling the transformation of cockpits to all-digital environments, especially in connected cars. Digital cockpits are used to seamlessly connect the vehicles to the applicable system, which saves the drivers’ time and improves the connected lifestyle in the car. However, autonomous driving has enforced in some countries to fight against the spread of COVID-19. It eases the burden caused due to the COVID-19 pandemic by shipping food and essential medical supplies to the public in infected areas, health-care professionals, and disinfecting hospitals to reduce the spread of COVID-19. Lockdowns have reduced production capacities, which is limiting the production of cars, leading to a delay in the installation of digital cockpits in the vehicles. The changing consumer behavior, such as purchasing only the most basic needs, buying local products, and shopping more consciously owing to the pandemic, is expected to transform the industry’s future.

Estimated Worldwide Passenger Vehicle Production between 2017 and 2019